How Will a Company Classify 'Proceeds Received from the Issuance

question 73

Multiple Choice

How will a company classify 'proceeds received from the issuance of long-term bonds' on its statement of cash flows?

• A)Cash provided from operations
• B)Cash used in operations
• C)Cash provided from investing activities
• D)Cash provided from financing activities

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Definitions:

Means-Testing

The procedure to determine eligibility for government assistance or services based on the applicant's financial means or income level.

Inheritance Taxes

Taxes imposed on the value of an estate or property transferred from a deceased person to their heirs.

Government Benefits

Financial assistance programs provided by the government to individuals or groups to support their income, health, education, or welfare.

Double Taxation

A phenomenon where income is taxed twice, typically once at the corporate level and again at the individual level when distributed as dividends.